I like the retractable bollards idea but I don't think we'd need to go that far at this particular intersection. Better markings, however, can help. For example, many left turn lanes have dashed lines running through the intersection giving the driver a general indication of what path they should be following. You see this very often in area where there are double barrelled turning lanes, keeping the 2 traffic flows separate. Also I've seen plastic/pvc poles, roughly 4 feet high placed in areas where drivers shouldn't be going. They don't necessarily stop the ignorant drivers from crossing them as they are able to drive over them, attentive drivers however stay away. They could be lined up for a few feet into the intersection.
If she was drunk while driving, however, then I feel that no amount of preventative signage would have stopped her from speeding through the wrong lane of the road at 30 clicks above the speed limit. That day she hit a streetcar, perhaps on another day or at another time she hits a transit shelter or mounts the sidewalk and kills some innocent pedestrians. Who do we blame then?
I do agree that that stretch of fleet should be eliminated, even with the tracks left as is on the north side. You could simply eliminate the northern westbound lanes of fleet and turn it over to an expanded sidewalk for pedestrians.